BED MAKER SECURES LOAN OF ALMOST £2M TO EXPAND
A Kingswinford adjustable bed manufacturer has secured a loan of almost £2m from ThinCats. Furmanac’s £1.8m funding boost will reduce its overall finance costs by refinancing a range of existing loans from multiple lenders and increase working capital to assist in its current growth.
The new funding allows the company to push ahead with its plans to develop and release new products to the market.
A family-run business led by John and Gee Hilliard, Furmanac makes mid- to high-end adjustable beds, upholstered bedsteads, sofa beds, recliner chairs, quality mattresses and other soft furnishings. Furmanac was originally set up by John’s father as an importer and wholesaler of furniture components in the late 1960s and later John started importing adjustable bed frames for the UK market from Germany. In the 1990s, John recognised a gap in the market and decided to take manufacturing in-house.
Chris Webb, director, regional business development led the ThinCats funding team.
John Hilliard, managing director, Furmanac, said: “Our family is incredibly proud of what we have achieved at Furmanac thus far. “We had accumulated a number of tactical loans over recent years and needed an overall funding strategy that was simpler and would reduce our finance costs. ”Once we had spoken to Chris and ThinCats’ regional credit team based in Birmingham, I was delighted with the solution that they created.
” Thanks to the ThinCats funding we are well-placed to capitalise on our strong position in a growing market.”
Webb added: “Furmanac is typical of many businesses that could benefit from simplifying their existing range of loans accumulated over the years.
“We were delighted to put together a long-term funding strategy that not only cuts their financing costs, but gives great flexibility going forward.
“The transaction is a good example of how having regionally based origination and credit teams can bring tangible benefits to our borrowers. We wish John and Gee every success with their ambitious growth plans.”